EUR/GBP Technical Analysis: Euro Sinks to Two-Week Low

By DailyFx | Updated August 28, 2014 AAA

DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/GBP Technical Strategy: Pending Short
  • Support: 0.7935, 0.7911, 0.7873
  • Resistance:0.7954, 0.7973, 0.7987

The Euro pushed lower anew against the British Pound, sliding to the weakest level in two weeks. A daily close below the 61.8% Fibonacci retracementat 0.7935 exposes the 23.6% Fib expansion at 0.7911. Alternatively, a turn above the 50% retracement at 0.7954 opens the door for a test of the 38.2% threshold at 0.7973

The push through trend line support suggests the corrective bounce from July’s low is yielding back to the dominant down trend. Selling at market is unattractive from a risk/reward perspective however and we will set an order to short at 0.7972 instead. If triggered, the position will initially target 0.7911 with a stop-loss activated on a daily close above 0.8033.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

EUR/GBP Technical Analysis: Euro Sinks to Two-Week Low

Daily Chart - Created Using FXCM Marketscope 2.0

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    What Could Greece Troubles Mean for the Euro? Substantial Volatility.

  2. Forex News

    EUR/GBP capped by 0.7300

  3. Forex News

    EUR/GBP strong resistance at 0.7347/0.7408 – Commerzbank

  4. Forex News

    EUR/GBP hits fresh lows below 0.7235 post UK data

  5. Forex News

    EUR/GBP to hold the sideways trading pattern – KBC

Trading Center